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This study investigates whether the complexity of IT investments that firms incur have an effect on firm performance. Not every IT investment implies the same level of complexity. Some IT investments were more expensive to implement, more difficult to implement, and took a longer period of time possibly having an important effect on the cash flow of the firm and its profitability. This study looks at publicly traded firms over a long period of time using the Dupont Profitability analysis. In the Dupont Profitability analysis, return on assets is broken down into its two components in order to evaluate performance of firms.

Accounting, Firm Performance, return on assets, profitability